Airlines raise fuel surcharges

5 Aug 2009

Escalating jet fuel prices have prompted some airlines to raise fuel surcharges, and others are set to follow suit.

Cathay Pacific (CX) and Singapore Airlines (SIA), whose fuel surcharge increases for flights out of Hongkong were approved by Hongkong’s Civil Aviation Department (CAD), have implemented the new levies on tickets issued between August 1 and September 30. Earlier this month, THAI Airways upped its fuel surcharges also due to rising fuel costs. (see news July 15)

CX and SIA’s short-haul surcharge (for flights to other points in Asia) will be increased from HK$52 (US$6.70) to HK$69 (US$8.90) and long-haul surcharge (for flights to North and South America, Europe, the Middle East, Africa, Southwest Pacific and the Indian subcontinent) will increase from HK$239 (US$30.80) to HK$318 (US$41).

Likewise, Japan Airlines (JAL) and All Nippon Airways (ANA) will reinstate their surcharges on international flights in October due to the hike in fuel prices. The exact amounts have yet to be announced. Both Japanese carriers had removed their fuel surcharges on July 1, following consistent kerosene jet fuel prices below US$60 per barrel between February and April 2009. “It’s a difficult decision because our abolition of the surcharges has boosted demand,” said Shinichiro Ito, ANA president.

Meanwhile, Nepal Airlines' flights from Hongkong will retain their current fuel surcharge of HK$239 (US$30.80).

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Joshua Tan

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